Attached is a spreadsheet that compares your tax home cash for your income as an employee and as a contractor working through your own Limited company.

The first sheet is a summary but you must enter data onto the second and third sheets.

The second sheet calculates the income tax and national insurance you will pay as an employee based on your salary, bonus and benefits.

The third sheet calculates your income after taxes that you would pay as a contractor.

Some common expenses are considered.

Contractor-employee comparison

If your situation is unusual and you would like a more personalised view on whether you should contract through your own company or remain an employee then please contact Clearways Accountants for your free consultation on 01737 244298 or complete the contact form below.